The number of factory outlet centres in Europe rose slightly to 198 units in the last 12 months, while their sales area expanded by 7.6% to just under 3.3 million sqm, according to an ecostra report.
One of the most significant new openings was the „Designer Outlet Paris-Giverny in Douains (France), which was developed by McArthurGlen. Meanwhile, other centres, such as the Sevilla Fashion Outlet in Spain, carried out expansion measures.
“We have observed that professional site selection, a modern centre layout and - not least - an experienced letting team together with a competent centre management are now a basic prerequisite for commercial success, and not only in the saturated outlet markets of Europe. The same also applies to markets in which outlet centres are not yet or barely represented,” said ecostra’s CEO Dr Joachim Will.
On the deal side, the biggest transaction was Hammerson’s sale of its Value Retail centres for €1.7 billion to US investment fund L Catterton, whose key shareholder is Bernard Arnault, head of luxury group LVMH.
The report further shows that the UK is the biggest outlet market in Europe with 38 centres. Italy and France are next with 26 and 23 centres, respectively.
Aside from the expansion of existing centres, ecostra’s experts have found that developers are converting parts of struggling shopping centres into outlets in response to restrictive building laws.
